Guides
Rideshare insurance for Uber and Lyft drivers
What Uber and Lyft insurance covers in each period of a ride, where personal policies stop, and how rideshare endorsements fill the gaps. Limits vary by state.
A standard personal auto policy generally stops covering you once you log into a rideshare app, and Uber and Lyft's own insurance changes depending on what you are doing. While you wait for a ride request, the companies provide only limited liability coverage and nothing for damage to your car; once you accept a ride, they provide at least $1 million in liability in most states plus contingent coverage for your car with a $2,500 deductible. A rideshare endorsement on your personal policy is the usual way to close the gaps, especially the waiting period.
The three periods of a rideshare trip
Insurers and regulators divide rideshare driving into periods, a framework the Insurance Information Institute attributes to the National Association of Insurance Commissioners:
- Period 0: app off. You are a private driver, and your personal policy applies as usual.
- Period 1: app on, waiting for a request. You are available but not matched with a rider.
- Period 2: en route. You have accepted a request and are driving to pick up the rider.
- Period 3: on trip. The rider is in the car, until they get out.
Your personal auto policy is written for personal use. Most exclude carrying people for a fee, and many exclude any time you are logged into a ride-hailing app. The North Carolina Department of Insurance, for example, says personal auto policies there do not cover you while you are logged into a transportation network platform, whether or not a passenger is in the car, and warns that not telling your insurer can lead to denied claims.
What Uber and Lyft provide
These are the companies' published U.S. coverages as of October 2026. Both say coverage and limits vary by state, so check the certificate of insurance for your state in the driver app.
| Period | Uber | Lyft |
|---|---|---|
| App off | Your personal insurance only | Your personal insurance only |
| App on, waiting (Period 1) | Third-party liability of $50,000 per person and $100,000 per accident for injuries, and $25,000 for property damage; no coverage for your car | Third-party liability of at least $50,000 per person and $100,000 per accident for injuries, and $25,000 for property damage; lower limits apply in Arizona and Nebraska; no coverage for your car |
| En route and on trip (Periods 2 and 3) | At least $1,000,000 in third-party liability; contingent collision and comprehensive up to the car's actual cash value with a $2,500 deductible, only if your personal policy includes collision and comprehensive; uninsured/underinsured motorist coverage where state law requires it | At least $1,000,000 in third-party liability (with different limits in some states, such as Maryland and Arizona during the en-route period); contingent collision and comprehensive up to actual cash value with a $2,500 deductible if your personal policy has them; first-party coverages that may include UM/UIM, PIP and medical payments |
Sources: Uber and Lyft. Lyft notes that in New York and New Jersey, drivers operating under taxi and limousine or livery licenses must meet separate requirements and Lyft does not buy that insurance for them. Uber notes its coverages do not apply to commercially licensed or insured drivers.
State law sets minimums for these platform policies. California's Public Utilities Code 5433, for example, requires at least $50,000 per person and $100,000 per incident for injuries and $30,000 for property damage while a driver is logged on and waiting, plus $200,000 of excess coverage, and $1 million while a driver is engaged in a prearranged ride, along with uninsured/underinsured motorist coverage of $60,000 per person and $300,000 per incident. See California for the state's other rules.
Where the gaps are
Comparing the table with a typical personal policy shows three gaps:
- Your car while waiting. In Period 1, neither company covers damage to your own car. If your personal policy excludes app-on time, a crash while waiting for a request may leave your car repairs uncovered.
- Liability limits while waiting. Period 1 liability is far lower than the $1 million that applies once you accept a ride.
- The deductible during trips. Contingent collision coverage carries a $2,500 deductible, far higher than most drivers choose on their personal policies, and it applies only if you carry collision and comprehensive yourself.
There may also be gaps in coverage for your own injuries, depending on your state's required coverages and what the platform buys there. Uber offers optional injury protection, and Lyft lists occupational accident coverage among its possible first-party coverages.
How rideshare endorsements fill the gaps
A rideshare endorsement adds rideshare use to your personal policy. Products differ, so read the details. Two examples from insurers' own descriptions, as of October 2026:
- State Farm says its rideshare driver coverage extends your personal policy's limits and deductibles while you are on the app. Liability is extended only while no ride request has been accepted and no paying passenger is in the car; collision, comprehensive, rental and emergency road service apply if you carry them. State Farm says the coverage generally adds about 15% to 20% to your State Farm premium, and it does not cover black car services such as Uber Black, which need a commercial livery policy it does not sell.
- Allstate's Ride for Hire coverage covers your vehicle while you wait for a ride request and, once you pick up a passenger, may cover amounts beyond the platform's coverage. Allstate gives the example of paying the difference between a $500 personal collision deductible and a $2,500 platform deductible. It is not available in every state.
Other insurers sell similar endorsements or hybrid policies, and some will not insure rideshare drivers at all. Drivers who do this full time, or who drive black car or livery services, may need commercial auto insurance; see personal vs commercial auto insurance.
A worked example
These figures are hypothetical. You are on a trip with a passenger when you cause a crash that does $6,000 of damage to your car, worth $15,000. Your personal policy carries collision with a $500 deductible.
| Without endorsement | With an endorsement that covers the deductible gap | |
|---|---|---|
| Platform's contingent collision pays | $3,500 ($6,000 minus $2,500 deductible) | $3,500 |
| Endorsement pays | $0 | $2,000 |
| You pay | $2,500 | $500 |
Had the same crash happened while you were waiting for a request, the platform would pay nothing toward your car, and without an endorsement your personal insurer could deny the claim.
Getting properly covered
- Tell your insurer you drive for a rideshare company. Hiding it risks a denied claim and a canceled policy.
- Ask whether it offers a rideshare endorsement in your state, which periods it covers and what it costs.
- Keep collision and comprehensive on your personal policy if you want the platform's contingent coverage to apply during trips.
- Download your state's certificate of insurance from the driver app and keep it with your insurance card.
- If your insurer won't cover rideshare use, shop for one that will before you drive again.
For food and package delivery, which works differently, see car insurance for delivery drivers.
Key takeaways
- Personal auto policies generally do not cover you while you are logged into a rideshare app.
- Uber and Lyft provide limited liability and no car damage coverage while you wait for a request, and at least $1 million in liability once you accept a ride in most states.
- Their contingent collision coverage has a $2,500 deductible and requires you to carry collision and comprehensive yourself.
- A rideshare endorsement typically fills the waiting-period gap and sometimes the deductible gap; products differ by insurer and state.
- Tell your insurer you drive for a rideshare company; hiding it can cost you a claim.